High-ranking executives made deals on production levels and set prices of LCD screens used in “almost every laptop computer and computer monitor sold in the U.S.,” smart phones and other electronic devices, according to a statement issued by the U.S. Department of Justice. A third of the $74 billion made by the cartel’s LCD sales came from U.S. companies like Apple, Dell, HP and other electronics and television manufacturers, the New York Times reported.

“This long-running price-fixing conspiracy resulted in every family, school, business, charity and government agency who bought notebook computers, computer monitors and LCD televisions during the conspiracy to pay more for these products,” said Scott Hammond, deputy assistant attorney general for the Department of Justice’s antitrust division’s criminal enforcement program.

In early 2006 the group meetings stopped due to fear of detection, according to legal documents filed by the Department of Justice. But AU Optronics continued to meet one-on-one with its supposed competitors in karaoke bars around Taipei to coordinate production and set prices.

“The defendants, unlike their coconspirators, are remorseless, having refused to accept responsibility or provide any assistance that would justify a reduction in their sentence,” the government lawyers said.

Several other LCD producers charged with price-fixing by the U.S. have previously pled guilty. In 2008 LG Electronics agreed to pay a $400 million fine to avoid trial. Hitachi, Sharp and Samsung, agreed in December to pay a total of $538 million in settlement fees. Only AU Optronics denied the allegations and took their case to a jury trial.

After AU Optronics and its executives were found guilty this past March, the Department of Justice petitioned Judge Ilston to impose maximum penalties upon the company.

“A $500 million fine would be a cost-of-doing-business fine for a large-scale, highly successful cartel like the one proven in this case,” the Department of Justice statement said. “It is possible that even a $1 billion fine will not deter the type of pernicious conduct before the court, but it is the maximum deterrent message that can be sent in the most serious price-fixing cartel ever prosecuted by the government.”

Wall Street law firm Skadden, Arps law issued a warning to clients that the size of the fine should serve as a warning to collaborate with the goverment: “(T)he case leaves room for companies to continue to negotiate resolutions based on the many factors that bear on a final penalty — from the level of affected commerce to mitigating circumstances and proportionality in sentencing.”

AU Optronics issued a statement on September 21, saying it “regrets” the judgment and intends to appeal the decision. The company added that there were “important, yet unresolved, legal questions surrounding this matter.” In a previous statement it said that the U.S. government wanted "to punish AUO for its temerity in electing to subject the validity of the government's charge to the test of a jury trial."